[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3688 Enrolled Bill (ENR)]
H.R.3688
One Hundred Tenth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Thursday,
the fourth day of January, two thousand and seven
An Act
To implement the United States-Peru Trade Promotion Agreement.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

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(a) Short Title.--This Act may be cited as the ``United States-Peru
Trade Promotion Agreement Implementation Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

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6b5f632b88e236388b2edf3798795e5de0b6a301ec225136adf41a851376d8d4

TITLE I

-APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE AGREEMENT

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oforigin; denial of preferential tariff treatment.

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TITLE II

-CUSTOMS PROVISIONS

Subtitle A--Relief From Imports Benefiting From the Agreement

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TITLE III

-RELIEF FROM IMPORTS

Subtitle B--Textile and Apparel Safeguard Measures

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Subtitle C--Cases Under Title II of the Trade Act of 1974

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The purposes of this Act are--
(1) to approve and implement the free trade agreement between
the United States and Peru entered into under the authority of
section 2103(b) of the Bipartisan Trade Promotion Authority Act of
2002 (19 U.S.C. 3803(b));
(2) to strengthen and develop economic relations between the
United States and Peru for their mutual benefit;
(3) to establish free trade between the United States and Peru
through the reduction and elimination of barriers to trade in goods
and services and to investment; and
(4) to lay the foundation for further cooperation to expand and
enhance the benefits of the Agreement.

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TITLE VI

-OFFSETS

In this Act:
(1) Agreement.--The term ``Agreement'' means the United States-
Peru Trade Promotion Agreement approved by Congress under section
101(a)(1).
(2) Commission.--The term ``Commission'' means the United
States International Trade Commission.
(3) HTS.--The term ``HTS'' means the Harmonized Tariff Schedule
of the United States.
(4) Textile or apparel good.--The term ``textile or apparel
good'' means a good listed in the Annex to the Agreement on
Textiles and Clothing referred to in section 101(d)(4) of the
Uruguay Round Agreements Act (19 U.S.C. 3511(d)(4)), other than a
good listed in Annex 3-C of the Agreement.

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(a) Approval of Agreement and Statement of Administrative Action.--
Pursuant to section 2105 of the Bipartisan Trade Promotion Authority
Act of 2002 (19 U.S.C. 3805) and section 151 of the Trade Act of 1974
(19 U.S.C. 2191), Congress approves--
(1) the United States-Peru Trade Promotion Agreement entered
into on April 12, 2006, with the Government of Peru, as amended on
June 24 and June 25, 2007, respectively, by the United States and
Peru, and submitted to Congress on September 27, 2007; and
(2) the statement of administrative action proposed to
implement the Agreement that was submitted to Congress on September
27, 2007.
(b) Conditions for Entry Into Force of the Agreement.--At such time
as the President determines that Peru has taken measures necessary to
comply with those provisions of the Agreement that are to take effect
on the date on which the Agreement enters into force, the President is
authorized to exchange notes with the Government of Peru providing for
the entry into force, on or after January 1, 2008, of the Agreement
with respect to the United States.

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(a) Relationship of Agreement to United States Law.--
(1) United states law to prevail in conflict.--No provision of
the Agreement, nor the application of any such provision to any
person or circumstance, which is inconsistent with any law of the
United States shall have effect.
(2) Construction.--Nothing in this Act shall be construed--
(A) to amend or modify any law of the United States, or
(B) to limit any authority conferred under any law of the
United States,
unless specifically provided for in this Act.
(b) Relationship of Agreement to State Law.--
(1) Legal challenge.--No State law, or the application thereof,
may be declared invalid as to any person or circumstance on the
ground that the provision or application is inconsistent with the
Agreement, except in an action brought by the United States for the
purpose of declaring such law or application invalid.
(2) Definition of state law.--For purposes of this subsection,
the term ``State law'' includes--
(A) any law of a political subdivision of a State; and
(B) any State law regulating or taxing the business of
insurance.
(c) Effect of Agreement With Respect to Private Remedies.--No
person other than the United States--
(1) shall have any cause of action or defense under the
Agreement or by virtue of congressional approval thereof; or
(2) may challenge, in any action brought under any provision of
law, any action or inaction by any department, agency, or other
instrumentality of the United States, any State, or any political
subdivision of a State, on the ground that such action or inaction
is inconsistent with the Agreement.

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INITIAL REGULATIONS.
(a) Implementing Actions.--
(1) Proclamation authority.--After the date of the enactment of
this Act--
(A) the President may proclaim such actions, and
(B) other appropriate officers of the United States
Government may issue such regulations,
as may be necessary to ensure that any provision of this Act, or
amendment made by this Act, that takes effect on the date on which
the Agreement enters into force is appropriately implemented on
such date, but no such proclamation or regulation may have an
effective date earlier than the date on which the Agreement enters
into force.
(2) Effective date of certain proclaimed actions.--Any action
proclaimed by the President under the authority of this Act that is
not subject to the consultation and layover provisions under
section 104 may not take effect before the 15th day after the date
on which the text of the proclamation is published in the Federal
Register.
(3) Waiver of 15-day restriction.--The 15-day restriction
contained in paragraph (2) on the taking effect of proclaimed
actions is waived to the extent that the application of such
restriction would prevent the taking effect on the date the
Agreement enters into force of any action proclaimed under this
section.
(b) Initial Regulations.--Initial regulations necessary or
appropriate to carry out the actions required by or authorized under
this Act or proposed in the statement of administrative action
submitted under section 101(a)(2) to implement the Agreement shall, to
the maximum extent feasible, be issued within 1 year after the date on
which the Agreement enters into force. In the case of any implementing
action that takes effect on a date after the date on which the
Agreement enters into force, initial regulations to carry out that
action shall, to the maximum extent feasible, be issued within 1 year
after such effective date.

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OF, PROCLAIMED ACTIONS.
If a provision of this Act provides that the implementation of an
action by the President by proclamation is subject to the consultation
and layover requirements of this section, such action may be proclaimed
only if--
(1) the President has obtained advice regarding the proposed
action from--
(A) the appropriate advisory committees established under
section 135 of the Trade Act of 1974 (19 U.S.C. 2155); and
(B) the Commission;
(2) the President has submitted to the Committee on Finance of
the Senate and the Committee on Ways and Means of the House of
Representatives a report that sets forth--
(A) the action proposed to be proclaimed and the reasons
therefor; and
(B) the advice obtained under paragraph (1);
(3) a period of 60 calendar days, beginning on the first day on
which the requirements set forth in paragraphs (1) and (2) have
been met, has expired; and
(4) the President has consulted with the committees referred to
in paragraph (2) regarding the proposed action during the period
referred to in paragraph (3).

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(a) Establishment or Designation of Office.--The President is
authorized to establish or designate within the Department of Commerce
an office that shall be responsible for providing administrative
assistance to panels established under chapter 21 of the Agreement. The
office shall not be considered to be an agency for purposes of section
552 of title 5, United States Code.
(b) Authorization of Appropriations.--There are authorized to be
appropriated for each fiscal year after fiscal year 2007 to the
Department of Commerce such sums as may be necessary for the
establishment and operations of the office established or designated
under subsection (a) and for the payment of the United States share of
the expenses of panels established under chapter 21 of the Agreement.

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The United States is authorized to resolve any claim against the
United States covered by article 10.16.1(a)(i)(C) or article
10.16.1(b)(i)(C) of the Agreement, pursuant to the Investor-State
Dispute Settlement procedures set forth in section B of chapter 10 of
the Agreement.

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(a) Effective Dates.--Except as provided in subsection (b), this
Act and the amendments made by this Act take effect on the date on
which the Agreement enters into force.
(b) Exceptions.--Sections 1 through 3 and this title take effect on
the date of the enactment of this Act.
(c) Termination of the Agreement.--On the date on which the
Agreement terminates, this Act (other than this subsection) and the
amendments made by this Act shall cease to have effect.

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(a) Tariff Modifications Provided for in the Agreement.--
(1) Proclamation authority.--The President may proclaim--
(A) such modifications or continuation of any duty,
(B) such continuation of duty-free or excise treatment, or
(C) such additional duties,
as the President determines to be necessary or appropriate to carry
out or apply articles 2.3, 2.5, 2.6, 3.3.13, and Annex 2.3 of the
Agreement.
(2) Effect on gsp status.--Notwithstanding section 502(a)(1) of
the Trade Act of 1974 (19 U.S.C. 2462(a)(1)), the President shall,
on the date on which the Agreement enters into force, terminate the
designation of Peru as a beneficiary developing country for
purposes of title V of the Trade Act of 1974 (19 U.S.C. 2461 et
seq.).
(b) Other Tariff Modifications.--Subject to the consultation and
layover provisions of section 104, the President may proclaim--
(1) such modifications or continuation of any duty,
(2) such modifications as the United States may agree to with
Peru regarding the staging of any duty treatment set forth in Annex
2.3 of the Agreement,
(3) such continuation of duty-free or excise treatment, or
(4) such additional duties,
as the President determines to be necessary or appropriate to maintain
the general level of reciprocal and mutually advantageous concessions
with respect to Peru provided for by the Agreement.
(c) Conversion to Ad Valorem Rates.--For purposes of subsections
(a) and (b), with respect to any good for which the base rate in the
Schedule of the United States to Annex 2.3 of the Agreement is a
specific or compound rate of duty, the President may substitute for the
base rate an ad valorem rate that the President determines to be
equivalent to the base rate.
(d) Tariff Rate Quotas.--In implementing the tariff rate quotas set
forth in Appendix I to the Schedule of the United States to Annex 2.3
of the Agreement, the President shall take such action as may be
necessary to ensure that imports of agricultural goods do not disrupt
the orderly marketing of commodities in the United States.

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(a) Definitions.--In this section:
(1) Applicable ntr (mfn) rate of duty.--The term ``applicable
NTR (MFN) rate of duty'' means, with respect to a safeguard good, a
rate of duty equal to the lowest of--
(A) the base rate in the Schedule of the United States to
Annex 2.3 of the Agreement;
(B) the column 1 general rate of duty that would, on the
day before the date on which the Agreement enters into force,
apply to a good classifiable in the same 8-digit subheading of
the HTS as the safeguard good; or
(C) the column 1 general rate of duty that would, at the
time the additional duty is imposed under subsection (b), apply
to a good classifiable in the same 8-digit subheading of the
HTS as the safeguard good.
(2) Schedule rate of duty.--The term ``schedule rate of duty''
means, with respect to a safeguard good, the rate of duty for that
good that is set forth in the Schedule of the United States to
Annex 2.3 of the Agreement.
(3) Safeguard good.--The term ``safeguard good'' means a good--
(A) that is included in the Schedule of the United States
to Annex 2.18 of the Agreement;
(B) that qualifies as an originating good under section
203, except that operations performed in or material obtained
from the United States shall be considered as if the operations
were performed in, and the material was obtained from, a
country that is not a party to the Agreement; and
(C) for which a claim for preferential tariff treatment
under the Agreement has been made.
(b) Additional Duties on Safeguard Goods.--
(1) In general.--In addition to any duty proclaimed under
subsection (a) or (b) of section 201, the Secretary of the Treasury
shall assess a duty, in the amount determined under paragraph (2),
on a safeguard good imported into the United States in a calendar
year if the Secretary determines that, prior to such importation,
the total volume of that safeguard good that is imported into the
United States in that calendar year exceeds 130 percent of the
volume that is provided for that safeguard good in the
corresponding year in the applicable table contained in Appendix I
of the General Notes to the Schedule of the United States to Annex
2.3 of the Agreement. For purposes of this subsection, year 1 in
that table corresponds to the calendar year in which the Agreement
enters into force.
(2) Calculation of additional duty.--The additional duty on a
safeguard good under this subsection shall be--
(A) in years 1 through 12, an amount equal to 100 percent
of the excess of the applicable NTR (MFN) rate of duty over the
schedule rate of duty; and
(B) in years 13 through 16, an amount equal to 50 percent
of the excess of the applicable NTR (MFN) rate of duty over the
schedule rate of duty.
(3) Notice.--Not later than 60 days after the Secretary of the
Treasury first assesses an additional duty in a calendar year on a
good under this subsection, the Secretary shall notify the
Government of Peru in writing of such action and shall provide to
that Government data supporting the assessment of the additional
duty.
(c) Exceptions.--No additional duty shall be assessed on a good
under subsection (b) if, at the time of entry, the good is subject to
import relief under--
(1) subtitle A of title III of this Act; or
(2) chapter 1 of title II of the Trade Act of 1974 (19 U.S.C.
2251 et seq.).
(d) Termination.--The assessment of an additional duty on a good
under subsection (b) shall cease to apply to that good on the date on
which duty-free treatment must be provided to that good under the
Schedule of the United States to Annex 2.3 of the Agreement.

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Section 13031(b) of the Consolidated Omnibus Budget Reconciliation
Act of 1985 (19 U.S.C. 58c(b)) is amended by adding after paragraph
(17) the following:
``(18) No fee may be charged under subsection (a) (9) or (10) with
respect to goods that qualify as originating goods under section 203 of
the United States-Peru Trade Promotion Agreement Implementation Act.
Any service for which an exemption from such fee is provided by reason
of this paragraph may not be funded with money contained in the Customs
User Fee Account.''.

369b526a79c507d2d2731db7785dd96c31ca0ee3f2893a78fc91b6de454bf1b9

ORIGIN; DENIAL OF PREFERENTIAL TARIFF TREATMENT.
(a) Disclosure of Incorrect Information.--Section 592 of the Tariff
Act of 1930 (19 U.S.C. 1592) is amended--
(1) in subsection (c)--
(A) by redesignating paragraph (10) as paragraph (11); and
(B) by inserting after paragraph (9) the following new
paragraph:
``(10) Prior disclosure regarding claims under the united
states-peru trade promotion agreement.--An importer shall not be
subject to penalties under subsection (a) for making an incorrect
claim that a good qualifies as an originating good under section
203 of the United States-Peru Trade Promotion Agreement
Implementation Act if the importer, in accordance with regulations
issued by the Secretary of the Treasury, promptly and voluntarily
makes a corrected declaration and pays any duties owing with
respect to that good.''; and
(2) by adding at the end the following new subsection:
``(i) False Certifications of Origin Under the United States-Peru
Trade Promotion Agreement.--
``(1) In general.--Subject to paragraph (2), it is unlawful for
any person to certify falsely, by fraud, gross negligence, or
negligence, in a PTPA certification of origin (as defined in
section 508(h)(1)(B) of this Act) that a good exported from the
United States qualifies as an originating good under the rules of
origin provided for in section 203 of the United States-Peru Trade
Promotion Agreement Implementation Act. The procedures and
penalties of this section that apply to a violation of subsection
(a) also apply to a violation of this subsection.
``(2) Prompt and voluntary disclosure of incorrect
information.--No penalty shall be imposed under this subsection if,
promptly after an exporter or producer that issued a PTPA
certification of origin has reason to believe that such
certification contains or is based on incorrect information, the
exporter or producer voluntarily provides written notice of such
incorrect information to every person to whom the certification was
issued.
``(3) Exception.--A person shall not be considered to have
violated paragraph (1) if--
``(A) the information was correct at the time it was
provided in a PTPA certification of origin but was later
rendered incorrect due to a change in circumstances; and
``(B) the person promptly and voluntarily provides written
notice of the change in circumstances to all persons to whom
the person provided the certification.''.
(b) Denial of Preferential Tariff Treatment.--Section 514 of the
Tariff Act of 1930 (19 U.S.C. 1514) is amended by adding at the end the
following new subsection:
``(i) Denial of Preferential Tariff Treatment Under the United
States-Peru Trade Promotion Agreement.--If U.S. Customs and Border
Protection or U.S. Immigration and Customs Enforcement of the
Department of Homeland Security finds indications of a pattern of
conduct by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the rules of origin provided
for in section 203 of the United States-Peru Trade Promotion Agreement
Implementation Act, U.S. Customs and Border Protection, in accordance
with regulations issued by the Secretary of the Treasury, may suspend
preferential tariff treatment under the United States-Peru Trade
Promotion Agreement to entries of identical goods covered by subsequent
representations by that importer, exporter, or producer until U.S.
Customs and Border Protection determines that representations of that
person are in conformity with such section 203.''.

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Subsection (d) of section 520 of the Tariff Act of 1930 (19 U.S.C.
1520(d)) is amended in the matter preceding paragraph (1)--
(1) by striking ``or''; and
(2) by striking ``for which'' and inserting ``, or section 203
of the United States-Peru Trade Promotion Agreement Implementation
Act for which''.

93793e43a1f80d75a50f016581efe6f7db368a1c242e98d7a0ab6d57ec318378

Section 508 of the Tariff Act of 1930 (19 U.S.C. 1508) is amended--
(1) by redesignating subsection (h) as subsection (i);
(2) by inserting after subsection (g) the following new
subsection:
``(h) Certifications of Origin for Goods Exported Under the United
States-Peru Trade Promotion Agreement.--
``(1) Definitions.--In this subsection:
``(A) Records and supporting documents.--The term `records
and supporting documents' means, with respect to an exported
good under paragraph (2), records and documents related to the
origin of the good, including--
``(i) the purchase, cost, and value of, and payment
for, the good;
``(ii) the purchase, cost, and value of, and payment
for, all materials, including indirect materials, used in
the production of the good; and
``(iii) the production of the good in the form in which
it was exported.
``(B) PTPA certification of origin.--The term `PTPA
certification of origin' means the certification established
under article 4.15 of the United States-Peru Trade Promotion
Agreement that a good qualifies as an originating good under
such Agreement.
``(2) Exports to peru.--Any person who completes and issues a
PTPA certification of origin for a good exported from the United
States shall make, keep, and, pursuant to rules and regulations
promulgated by the Secretary of the Treasury, render for
examination and inspection all records and supporting documents
related to the origin of the good (including the certification or
copies thereof).
``(3) Retention period.--The person who issues a PTPA
certification of origin shall keep the records and supporting
documents relating to that certification of origin for a period of
at least 5 years after the date on which the certification is
issued.''; and
(3) in subsection (i), as so redesignated--
(A) by striking ``(f) or (g)'' and inserting ``(f), (g), or
(h)''; and
(B) by striking ``either such subsection'' and inserting
``any such subsection''.

538c18cb38338424daf74ca52d5b1973facb0cc2896c3d8f023f5594ceabdf92

(a) Action During Verification.--
(1) In general.--If the Secretary of the Treasury requests the
Government of Peru to conduct a verification pursuant to article
3.2 of the Agreement for purposes of making a determination under
paragraph (2), the President may direct the Secretary to take
appropriate action described in subsection (b) while the
verification is being conducted.
(2) Determination.--A determination under this paragraph is a
determination of the Secretary that--
(A) an exporter or producer in Peru is complying with
applicable customs laws, regulations, and procedures regarding
trade in textile or apparel goods; or
(B) a claim that a textile or apparel good exported or
produced by such exporter or producer--
(i) qualifies as an originating good under section 203,
or
(ii) is a good of Peru,
is accurate.
(b) Appropriate Action Described.--Appropriate action under
subsection (a)(1) includes--
(1) suspension of preferential tariff treatment under the
Agreement with respect to--
(A) any textile or apparel good exported or produced by the
person that is the subject of a verification under subsection
(a)(1) regarding compliance described in subsection (a)(2)(A),
if the Secretary determines that there is insufficient
information to support any claim for preferential tariff
treatment that has been made with respect to any such good; or
(B) the textile or apparel good for which a claim of
preferential tariff treatment has been made that is the subject
of a verification under subsection (a)(1) regarding a claim
described in subsection (a)(2)(B), if the Secretary determines
that there is insufficient information to support that claim;
(2) denial of preferential tariff treatment under the Agreement
with respect to--
(A) any textile or apparel good exported or produced by the
person that is the subject of a verification under subsection
(a)(1) regarding compliance described in subsection (a)(2)(A),
if the Secretary determines that the person has provided
incorrect information to support any claim for preferential
tariff treatment that has been made with respect to any such
good; or
(B) the textile or apparel good for which a claim of
preferential tariff treatment has been made that is the subject
of a verification under subsection (a)(1) regarding a claim
described in subsection (a)(2)(B), if the Secretary determines
that a person has provided incorrect information to support
that claim;
(3) detention of any textile or apparel good exported or
produced by the person that is the subject of a verification under
subsection (a)(1) regarding compliance described in subsection
(a)(2)(A) or a claim described in subsection (a)(2)(B), if the
Secretary determines that there is insufficient information to
determine the country of origin of any such good; and
(4) denial of entry into the United States of any textile or
apparel good exported or produced by the person that is the subject
of a verification under subsection (a)(1) regarding compliance
described in subsection (a)(2)(A) or a claim described in
subsection (a)(2)(B), if the Secretary determines that the person
has provided incorrect information as to the country of origin of
any such good.
(c) Action on Completion of a Verification.--On completion of a
verification under subsection (a), the President may direct the
Secretary to take appropriate action described in subsection (d) until
such time as the Secretary receives information sufficient to make the
determination under subsection (a)(2) or until such earlier date as the
President may direct.
(d) Appropriate Action Described.--Appropriate action under
subsection (c) includes--
(1) denial of preferential tariff treatment under the Agreement
with respect to--
(A) any textile or apparel good exported or produced by the
person that is the subject of a verification under subsection
(a)(1) regarding compliance described in subsection (a)(2)(A),
if the Secretary determines that there is insufficient
information to support, or that the person has provided
incorrect information to support, any claim for preferential
tariff treatment that has been made with respect to any such
good; or
(B) the textile or apparel good for which a claim of
preferential tariff treatment has been made that is the subject
of a verification under subsection (a)(1) regarding a claim
described in subsection (a)(2)(B), if the Secretary determines
that there is insufficient information to support, or that a
person has provided incorrect information to support, that
claim; and
(2) denial of entry into the United States of any textile or
apparel good exported or produced by the person that is the subject
of a verification under subsection (a)(1) regarding compliance
described in subsection (a)(2)(A) or a claim described in
subsection (a)(2)(B), if the Secretary determines that there is
insufficient information to determine, or that the person has
provided incorrect information as to, the country of origin of any
such good.
(e) Publication of Name of Person.--In accordance with article
3.2.6 of the Agreement, the Secretary may publish the name of any
person that the Secretary has determined--
(1) is engaged in circumvention of applicable laws,
regulations, or procedures affecting trade in textile or apparel
goods; or
(2) has failed to demonstrate that it produces, or is capable
of producing, textile or apparel goods.

eb6818a6d9745907f90325ad38d24b66371165dd1afea7c60ce76e92e29ea266

The Secretary of the Treasury shall prescribe such regulations as
may be necessary to carry out--
(1) subsections (a) through (n) of section 203;
(2) the amendment made by section 204; and
(3) any proclamation issued under section 203(o).

4554dfe03f300623ba042a327b4a61b600f8820946ed807e5ec011849a7ceca2

In this title:
(1) Peruvian article.--The term ``Peruvian article'' means an
article that qualifies as an originating good under section 203(b).
(2) Peruvian textile or apparel article.--The term ``Peruvian
textile or apparel article'' means a textile or apparel good (as
defined in section 3(4)) that is a Peruvian article.
Subtitle A--Relief From Imports Benefiting From the Agreement

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(a) Filing of Petition.--A petition requesting action under this
subtitle for the purpose of adjusting to the obligations of the United
States under the Agreement may be filed with the Commission by an
entity, including a trade association, firm, certified or recognized
union, or group of workers, that is representative of an industry. The
Commission shall transmit a copy of any petition filed under this
subsection to the United States Trade Representative.
(b) Investigation and Determination.--Upon the filing of a petition
under subsection (a), the Commission, unless subsection (d) applies,
shall promptly initiate an investigation to determine whether, as a
result of the reduction or elimination of a duty provided for under the
Agreement, a Peruvian article is being imported into the United States
in such increased quantities, in absolute terms or relative to domestic
production, and under such conditions that imports of the Peruvian
article constitute a substantial cause of serious injury or threat
thereof to the domestic industry producing an article that is like, or
directly competitive with, the imported article.
(c) Applicable Provisions.--The following provisions of section 202
of the Trade Act of 1974 (19 U.S.C. 2252) apply with respect to any
investigation initiated under subsection (b):
(1) Paragraphs (1)(B) and (3) of subsection (b).
(2) Subsection (c).
(3) Subsection (i).
(d) Articles Exempt From Investigation.--No investigation may be
initiated under this section with respect to any Peruvian article if,
after the date on which the Agreement enters into force, import relief
has been provided with respect to that Peruvian article under this
subtitle.

4e41ec27103a46ede6c945dc71a57f40a23e8b9037b786ed8abd3390ab256891

(a) Determination.--Not later than 120 days after the date on which
an investigation is initiated under section 311(b) with respect to a
petition, the Commission shall make the determination required under
that section.
(b) Applicable Provisions.--For purposes of this subtitle, the
provisions of paragraphs (1), (2), and (3) of section 330(d) of the
Tariff Act of 1930 (19 U.S.C. 1330(d) (1), (2), and (3)) shall be
applied with respect to determinations and findings made under this
section as if such determinations and findings were made under section
202 of the Trade Act of 1974 (19 U.S.C. 2252).
(c) Additional Finding and Recommendation if Determination
Affirmative.--
(1) In general.--If the determination made by the Commission
under subsection (a) with respect to imports of an article is
affirmative, or if the President may consider a determination of
the Commission to be an affirmative determination as provided for
under paragraph (1) of section 330(d) of the Tariff Act of 1930 (19
U.S.C. 1330(d)), the Commission shall find, and recommend to the
President in the report required under subsection (d), the amount
of import relief that is necessary to remedy or prevent the injury
found by the Commission in the determination and to facilitate the
efforts of the domestic industry to make a positive adjustment to
import competition.
(2) Limitation on relief.--The import relief recommended by the
Commission under this subsection shall be limited to the relief
described in section 313(c).
(3) Voting; separate views.--Only those members of the
Commission who voted in the affirmative under subsection (a) are
eligible to vote on the proposed action to remedy or prevent the
injury found by the Commission. Members of the Commission who did
not vote in the affirmative may submit, in the report required
under subsection (d), separate views regarding what action, if any,
should be taken to remedy or prevent the injury.
(d) Report to President.--Not later than the date that is 30 days
after the date on which a determination is made under subsection (a)
with respect to an investigation, the Commission shall submit to the
President a report that includes--
(1) the determination made under subsection (a) and an
explanation of the basis for the determination;
(2) if the determination under subsection (a) is affirmative,
any findings and recommendations for import relief made under
subsection (c) and an explanation of the basis for each
recommendation; and
(3) any dissenting or separate views by members of the
Commission regarding the determination referred to in paragraph (1)
and any finding or recommendation referred to in paragraph (2).
(e) Public Notice.--Upon submitting a report to the President under
subsection (d), the Commission shall promptly make public the report
(with the exception of information which the Commission determines to
be confidential) and shall publish a summary of the report in the
Federal Register.

59bfe7e8f073a1a8ef15b4a9ae1633c45bf3b28a8c3cec6db7e1aee3da87a76c

(a) In General.--Not later than the date that is 30 days after the
date on which the President receives the report of the Commission in
which the Commission's determination under section 312(a) is
affirmative, or which contains a determination under section 312(a)
that the President considers to be affirmative under paragraph (1) of
section 330(d) of the Tariff Act of 1930 (19 U.S.C. 1330(d)(1)), the
President, subject to subsection (b), shall provide relief from imports
of the article that is the subject of such determination to the extent
that the President determines necessary to remedy or prevent the injury
found by the Commission and to facilitate the efforts of the domestic
industry to make a positive adjustment to import competition.
(b) Exception.--The President is not required to provide import
relief under this section if the President determines that the
provision of the import relief will not provide greater economic and
social benefits than costs.
(c) Nature of Relief.--
(1) In general.--The import relief that the President is
authorized to provide under this section with respect to imports of
an article is as follows:
(A) The suspension of any further reduction provided for
under Annex 2.3 of the Agreement in the duty imposed on the
article.
(B) An increase in the rate of duty imposed on the article
to a level that does not exceed the lesser of--
(i) the column 1 general rate of duty imposed under the
HTS on like articles at the time the import relief is
provided; or
(ii) the column 1 general rate of duty imposed under
the HTS on like articles on the day before the date on
which the Agreement enters into force.
(2) Progressive liberalization.--If the period for which import
relief is provided under this section is greater than 1 year, the
President shall provide for the progressive liberalization
(described in article 8.2.2 of the Agreement) of such relief at
regular intervals during the period of its application.
(d) Period of Relief.--
(1) In general.--Subject to paragraph (2), any import relief
that the President provides under this section may not be in effect
for more than 2 years.
(2) Extension.--
(A) In general.--Subject to subparagraph (C), the
President, after receiving a determination from the Commission
under subparagraph (B) that is affirmative, or which the
President considers to be affirmative under paragraph (1) of
section 330(d) of the Tariff Act of 1930 (19 U.S.C.
1330(d)(1)), may extend the effective period of any import
relief provided under this section by up to 2 years, if the
President determines that--
(i) the import relief continues to be necessary to
remedy or prevent serious injury and to facilitate
adjustment by the domestic industry to import competition;
and
(ii) there is evidence that the industry is making a
positive adjustment to import competition.
(B) Action by commission.--
(i) Investigation.--Upon a petition on behalf of the
industry concerned that is filed with the Commission not
earlier than the date that is 9 months, and not later than
the date that is 6 months, before the date on which any
action taken under subsection (a) is to terminate, the
Commission shall conduct an investigation to determine
whether action under this section continues to be necessary
to remedy or prevent serious injury and whether there is
evidence that the industry is making a positive adjustment
to import competition.
(ii) Notice and hearing.--The Commission shall publish
notice of the commencement of any proceeding under this
subparagraph in the Federal Register and shall, within a
reasonable time thereafter, hold a public hearing at which
the Commission shall afford interested parties and
consumers an opportunity to be present, to present
evidence, and to respond to the presentations of other
parties and consumers, and otherwise to be heard.
(iii) Report.--The Commission shall submit to the
President a report on its investigation and determination
under this subparagraph not later than 60 days before the
action under subsection (a) is to terminate, unless the
President specifies a different date.
(C) Period of import relief.--Any import relief provided
under this section, including any extensions thereof, may not,
in the aggregate, be in effect for more than 4 years.
(e) Rate After Termination of Import Relief.--When import relief
under this section is terminated with respect to an article--
(1) the rate of duty on that article after such termination and
on or before December 31 of the year in which such termination
occurs shall be the rate that, according to the Schedule of the
United States to Annex 2.3 of the Agreement, would have been in
effect 1 year after the provision of relief under subsection (a);
and
(2) the rate of duty for that article after December 31 of the
year in which such termination occurs shall be, at the discretion
of the President, either--
(A) the applicable rate of duty for that article set forth
in the Schedule of the United States to Annex 2.3 of the
Agreement; or
(B) the rate of duty resulting from the elimination of the
tariff in equal annual stages ending on the date set forth in
the Schedule of the United States to Annex 2.3 of the Agreement
for the elimination of the tariff.
(f) Articles Exempt From Relief.--No import relief may be provided
under this section on--
(1) any article that is subject to import relief under--
(A) subtitle B; or
(B) chapter 1 of title II of the Trade Act of 1974 (19
U.S.C. 2251 et seq.); or
(2) any article on which an additional duty assessed under
section 202(b) is in effect.

70d0482e88dcc92965207a42a16927c10a47ac8ba827c4c02ab65938a8962ee5

(a) General Rule.--Subject to subsection (b), no import relief may
be provided under this subtitle after the date that is 10 years after
the date on which the Agreement enters into force.
(b) Exception.--If an article for which relief is provided under
this subtitle is an article for which the period for tariff
elimination, set forth in the Schedule of the United States to Annex
2.3 of the Agreement, is greater than 10 years, no relief under this
subtitle may be provided for that article after the date on which that
period ends.

8b1fb4e863e62e537ef22147fc29ab8c95bd6f6413b9577c560c0691794f671f

For purposes of section 123 of the Trade Act of 1974 (19 U.S.C.
2133), any import relief provided by the President under section 313
shall be treated as action taken under chapter 1 of title II of such
Act (19 U.S.C. 2251 et seq.).

a5cb7dc58467d18bf43ccdf82a09c1441ad722f73ae5f3f117a77bb8ba2d6efd

Section 202(a)(8) of the Trade Act of 1974 (19 U.S.C. 2252(a)(8))
is amended in the first sentence--
(1) by striking ``and''; and
(2) by inserting before the period at the end ``, and title III
of the United States-Peru Trade Promotion Agreement Implementation
Act''.
Subtitle B--Textile and Apparel Safeguard Measures

b054c9f6143e3e57b82a8f6fb347e6b226186830e0d399635f78a67c6ada010b

(a) In General.--A request for action under this subtitle for the
purpose of adjusting to the obligations of the United States under the
Agreement may be filed with the President by an interested party. Upon
the filing of a request, the President shall review the request to
determine, from information presented in the request, whether to
commence consideration of the request.
(b) Publication of Request.--If the President determines that the
request under subsection (a) provides the information necessary for the
request to be considered, the President shall publish in the Federal
Register a notice of commencement of consideration of the request, and
notice seeking public comments regarding the request. The notice shall
include a summary of the request and the dates by which comments and
rebuttals must be received.

be3969d19abd3154fb3d0f838666b4cc5a2b7d86b58b1acbfc3905e37a61cdf2

(a) Determination.--
(1) In general.--If a positive determination is made under
section 321(b), the President shall determine whether, as a result
of the elimination of a duty under the Agreement, a Peruvian
textile or apparel article is being imported into the United States
in such increased quantities, in absolute terms or relative to the
domestic market for that article, and under such conditions as to
cause serious damage, or actual threat thereof, to a domestic
industry producing an article that is like, or directly competitive
with, the imported article.
(2) Serious damage.--In making a determination under paragraph
(1), the President--
(A) shall examine the effect of increased imports on the
domestic industry, as reflected in changes in such relevant
economic factors as output, productivity, utilization of
capacity, inventories, market share, exports, wages,
employment, domestic prices, profits and losses, and
investment, no one of which is necessarily decisive; and
(B) shall not consider changes in consumer preference or
changes in technology in the United States as factors
supporting a determination of serious damage or actual threat
thereof.
(b) Provision of Relief.--
(1) In general.--If a determination under subsection (a) is
affirmative, the President may provide relief from imports of the
article that is the subject of such determination, as provided in
paragraph (2), to the extent that the President determines
necessary to remedy or prevent the serious damage and to facilitate
adjustment by the domestic industry.
(2) Nature of relief.--The relief that the President is
authorized to provide under this subsection with respect to imports
of an article is an increase in the rate of duty imposed on the
article to a level that does not exceed the lesser of--
(A) the column 1 general rate of duty imposed under the HTS
on like articles at the time the import relief is provided; or
(B) the column 1 general rate of duty imposed under the HTS
on like articles on the day before the date on which the
Agreement enters into force.

2599f95673739cc278a38a0fa2e4d8e762e50d3adda5d0c5b38037d83f2ae150

(a) In General.--Subject to subsection (b), the import relief that
the President provides under section 322(b) may not be in effect for
more than 2 years.
(b) Extension.--
(1) In general.--Subject to paragraph (2), the President may
extend the effective period of any import relief provided under
this subtitle for a period of not more than 1 year, if the
President determines that--
(A) the import relief continues to be necessary to remedy
or prevent serious damage and to facilitate adjustment by the
domestic industry to import competition; and
(B) there is evidence that the industry is making a
positive adjustment to import competition.
(2) Limitation.--Any relief provided under this subtitle,
including any extensions thereof, may not, in the aggregate, be in
effect for more than 3 years.

1ad95df0c63b5c978a34ae5f35a78694ee33e0c038a375e1f967ce6e77ca1ad9

The President may not provide import relief under this subtitle
with respect to an article if--
(1) import relief previously has been provided under this
subtitle with respect to that article; or
(2) the article is subject to import relief under--
(A) subtitle A; or
(B) chapter 1 of title II of the Trade Act of 1974 (19
U.S.C. 2251 et seq.).

5d28fc6e058e4e7ac04a4e6cafd0114e5ff6aca579fe9340fb48b3709d233c46

On the date on which import relief under this subtitle is
terminated with respect to an article, the rate of duty on that article
shall be the rate that would have been in effect, but for the provision
of such relief.

2eab79666be82b7c32b7d7337cc42947d606c086e5c3d2392b2255d04cab5d96

No import relief may be provided under this subtitle with respect
to any article after the date that is 5 years after the date on which
the Agreement enters into force.

b2d17bbd6310ec99ccd9683595c5e7bfb910ea43b352a98d0029e491193defe1

For purposes of section 123 of the Trade Act of 1974 (19 U.S.C.
2133), any import relief provided by the President under this subtitle
shall be treated as action taken under chapter 1 of title II of such
Act (19 U.S.C. 2251 et seq.).

a903c165502cc986a849a7e8b75fb0a836a106c5c281c10c5d6da5b7766f0dc9

The President may not release information received in connection
with an investigation or determination under this subtitle which the
President considers to be confidential business information unless the
party submitting the confidential business information had notice, at
the time of submission, that such information would be released by the
President, or such party subsequently consents to the release of the
information. To the extent a party submits confidential business
information, the party shall also provide a nonconfidential version of
the information in which the confidential business information is
summarized or, if necessary, deleted.
Subtitle C--Cases Under Title II of the Trade Act of 1974

b8e728c1862b4621db38652e31b637abac3da5fb8b1d454279e9516285f780de

(a) Effect of Imports.--If, in any investigation initiated under
chapter 1 of title II of the Trade Act of 1974 (19 U.S.C. 2251 et
seq.), the Commission makes an affirmative determination (or a
determination which the President may treat as an affirmative
determination under such chapter by reason of section 330(d) of the
Tariff Act of 1930), the Commission shall also find (and report to the
President at the time such injury determination is submitted to the
President) whether imports of the article of Peru that qualify as
originating goods under section 203(b) are a substantial cause of
serious injury or threat thereof.
(b) Presidential Determination Regarding Imports of Peru.--In
determining the nature and extent of action to be taken under chapter 1
of title II of the Trade Act of 1974 (19 U.S.C. 2251 et seq.), the
President may exclude from the action goods of Peru with respect to
which the Commission has made a negative finding under subsection (a).

e83626d941389bdc38028e4245db5901b9e02cece1b1bfe5c433aa4e815dfcc9

Section 308(4)(A) of the Trade Agreements Act of 1979 (19 U.S.C.
2518(4)(A)) is amended--
(1) by striking ``or'' at the end of clause (v);
(2) by striking the period at the end of clause (vi) and
inserting ``; or''; and
(3) by adding at the end the following new clause:
``(vii) a party to the United States-Peru Trade
Promotion Agreement, a product or service of that country
or instrumentality which is covered under that agreement
for procurement by the United States.''.

635055584c5e3712d46ad5101a24b6907c9ae7763bc7bf938d6131a96a74983e

TITLE IV

-PROCUREMENT

(a) Establishment of Interagency Committee.--Not later than 90 days
after the date on which the Agreement enters into force, the President
shall establish an Interagency Committee (in this section referred to
as the ``Committee''). The Committee shall be responsible for
overseeing the implementation of Annex 18.3.4 of the Agreement,
including by undertaking such actions and making such determinations
provided for in this section that are not otherwise authorized under
law.
(b) Audit.--The Committee may request that the Government of Peru
conduct an audit, pursuant to paragraph 6(b) of Annex 18.3.4 of the
Agreement, to determine whether a particular producer or exporter in
Peru is complying with all applicable laws, regulations, and other
measures of Peru governing the harvest of, and trade in, timber
products.
(c) Verification.--
(1) In general.--The Committee may request the Government of
Peru to conduct a verification, pursuant to paragraph 7 of Annex
18.3.4 of the Agreement, for the purpose of determining whether,
with respect to a particular shipment of timber products from Peru
to the United States, the producer or exporter of the products has
complied with applicable laws, regulations, and other measures of
Peru governing the harvest of, and trade in, the products.
(2) Actions of committee.--If the Committee requests a
verification under paragraph (1), the Committee shall--
(A) to the extent authorized under law, provide the
Government of Peru with trade and transit documents and other
information to assist Peru in conducting the verification; and
(B) direct U.S. Customs and Border Protection to take any
appropriate action described in paragraph (4).
(3) Request to participate in verification visit.--The
Committee may request the Government of Peru to permit officials of
any agency represented on the Committee to participate in any visit
conducted by Peru of the premises of a person that is the subject
of the verification requested under paragraph (1) (in this section
referred to as a ``verification visit''). Such request shall be
submitted in writing not later than 10 days before any scheduled
verification visit and shall identify the names and titles of the
officials intending to participate.
(4) Appropriate action pending the results of verification.--
While the results of a verification requested under paragraph (1)
are pending, the Committee may direct U.S. Customs and Border
Protection to--
(A) detain the shipment that is the subject of the
verification; or
(B) if the Committee has requested under paragraph (3) to
have an official of any agency represented on the Committee
participate in the verification visit and the Government of
Peru has denied the request, deny entry to the shipment that is
the subject of the verification.
(5) Determination upon receipt of report.--
(A) In general.--Within a reasonable time after the
Government of Peru provides a report to the Committee
describing the results of a verification requested under
paragraph (1), the Committee shall determine whether any action
is appropriate.
(B) Determination of appropriate action.--In determining
the appropriate action to take and the duration of the action,
the Committee shall consider any relevant factors, including--
(i) the verification report issued by the Government of
Peru;
(ii) any information that officials of the United
States have obtained regarding the shipment or person that
is the subject of the verification; and
(iii) any information that officials of the United
States have obtained during a verification visit.
(6) Notification.--Before directing that action be taken under
paragraph (7), the Committee shall notify the Government of Peru in
writing of the action that will be taken and the duration of the
action.
(7) Appropriate action.--If the Committee makes an affirmative
determination under paragraph (5), it may take any action with
respect to the shipment that was the subject of the verification,
or the products of the relevant producer or exporter, that the
Committee considers appropriate, including directing U.S. Customs
and Border Protection to--
(A) deny entry to the shipment;
(B) if a determination has been made that a producer or
exporter has knowingly provided false information to officials
of Peru or the United States regarding a shipment, deny entry
to products of that producer or exporter derived from any tree
species listed in Appendices to the Convention on International
Trade in Endangered Species of Wild Fauna and Flora, done at
Washington March 3, 1973 (27 UST 1087; TIAS 8249); or
(C) take any other action the Committee determines to be
appropriate.
(8) Termination of appropriate action.--Any action under
paragraph (7)(B) shall terminate not later than the later of--
(A) the end of the period specified in the written
notification pursuant to paragraph (6); or
(B) 15 days after the date on which the Government of Peru
submits to the United States the results of an audit under
paragraph 6 of Annex 18.3.4 of the Agreement that concludes
that the person has complied with all applicable laws,
regulations, and other measures of Peru governing the harvest
of, and trade in, timber products.
(9) Failure to provide verification report.--If the Committee
determines that the Government of Peru has failed to provide a
verification report, as required by paragraph 12 of Annex 18.3.4 of
the Agreement, the Committee may take such action with respect to
the relevant exporter's timber products as the Committee considers
appropriate, including any action described in paragraph (7).
(d) Confidentiality of Information.--The Committee and any agency
represented on the Committee shall not disclose to the public, except
with the specific permission of the Government of Peru, any documents
or information received in the course of an audit under subsection (b)
or in the course of a verification under subsection (c).
(e) Publicly Available Information.--The Committee shall make any
information exchanged with Peru under paragraph 17 of Annex 18.3.4 of
the Agreement publicly available in a timely manner, in accordance with
paragraph 18 of Annex 18.3.4 of the Agreement.
(f) Coordination With Other Laws.--
(1) Endangered species act; lacey act.--In implementing this
section, the Secretary of Agriculture, the Secretary of the
Interior, the Secretary of Homeland Security, and the Secretary of
the Treasury shall provide for appropriate coordination with the
administration of the Endangered Species Act of 1973 (16 U.S.C.
1531 et seq.) and the Lacey Act Amendments of 1981 (16 U.S.C. 3371
et seq.).
(2) Other laws.--Nothing in this section supersedes or limits
in any manner the functions or authority of the Secretary of
Agriculture, the Secretary of the Interior, the Secretary of
Homeland Security, or the Secretary of the Treasury under any other
law, including laws relating to prohibited or restricted
importations or possession of animals, plants, or other articles.
(3) Effect of determination.--No determination under this
section shall preclude any proceeding or be considered
determinative of any issue of fact or law in any proceeding under
any law administered by the Secretary of Agriculture, the Secretary
of the Interior, the Secretary of Homeland Security, or the
Secretary of the Treasury.
(g) Further Implementation.--The Secretary of Agriculture, the
Secretary of the Interior, the Secretary of Homeland Security, and the
Secretary of the Treasury, in consultation with the Committee, shall
prescribe such regulations as are necessary to carry out this section.
(h) Resources for Implementation.--Not later than 90 days after the
date on which the Agreement enters into force, and as appropriate
thereafter, the President shall consult with the Committee on Finance
of the Senate and the Committee on Ways and Means of the House of
Representatives on the resources, including staffing, needed to
implement Annex 18.3.4 of the Agreement.

ca591720a9322fbb85f5ded9e6b5d9d76fc677ece14fe8b396e58a8c82b870d8

TITLE V

-TRADE IN TIMBER PRODUCTS OF PERU

(a) In General.--The United States Trade Representative, in
consultation with the appropriate agencies, including U.S. Customs and
Border Protection, the United States Fish and Wildlife Service, the
Animal and Plant Health Inspection Service, the Forest Service, and the
Department of State, shall report to the Committee on Finance of the
Senate and the Committee on Ways and Means of the House of
Representatives on--
(1) steps the United States and Peru have taken to carry out
Annex 18.3.4 of the Agreement; and
(2) activities related to forest sector governance carried out
under the Environmental Cooperation Agreement entered into between
the United States and Peru on July 24, 2006.
(b) Timing of Report.--The United States Trade Representative shall
report to the Committee on Finance of the Senate and the Committee on
Ways and Means of the House of Representatives under subsection (a)--
(1) not later than 1 year after the date on which the Agreement
enters into force;
(2) not later than 2 years after the date on which the
Agreement enters into force; and
(3) periodically thereafter.

93d97445368fd318fb416cc05e6fce821ff529db89c26ce30a73ebb616912631

(a) Section 13031(j)(3)(A) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)(A)) is amended by
striking ``October 21, 2014'' and inserting ``December 13, 2014''.
(b) Section 13031(j)(3)(B)(i) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)(B)(i)) is amended by
striking ``October 7, 2014'' and inserting ``December 13, 2014''.

614e824d81a243b00d64c76ae691b9f0177ae738b5ecbb3293c553701125e3fa

Subparagraph (B) of section 401(1) of the Tax Increase Prevention
and Reconciliation Act of 2005 (26 U.S.C. 6655 note) is amended by
striking ``115 percent'' and inserting ``115.75 percent''.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.

ef210b35549412da37312bc867f20529350bc20e104345c50fd0400c05230f77

United States-Peru Trade Promotion Agreement Implementation Act — HR. 3688

Other Sections